股票外汇技术分析英文版.ppt

Fundamentals of FOREX By Stephen Hill You can download this PowerPoint session at Http:///forex2.ppt Advantages of Trading the FOREX Enormous liquidity 24-hour Trading Very tight spreads No commission or exchange fees High leverage for active traders Fewer tickers to follow Advantages of FOREX vs Currency Futures More Volume, Better Liquidity - Daily currency futures volume on the CME is just 1% of the volume seen every day in the FOREX markets. Tighter Spreads - Invert the futures price to compare it to cash and you can easily see the difference. Currency futures regularly have a spread that is three or four pips higher than the comparable currency spread. Higher Leverage, Lower Margin - The FOREX rates are generally better than those found in currency futures trading. Advantages of FOREX vs Currency Futures More easily understood quotes - Currency futures are time-based derivative products whose prices have the added complication of a forward component. The forward component takes into account a time factor, interest rates, and the interest differentials between various currencies. The price on the FOREX market is simply how many of one currency people are willing to pay for the other currency-thats it. No commissions. No clearing fees. No exchange fees - The fees on Currency futures can eat into profits Basic of FOREX Pairs Currencies are quoted in pairs, such as EURUSD or USDJPY. The first listed currency is called the base currency, while the second currency is called the counter or quote currency. The base currency is the basis for the buy or the sell. If you buy EURUSD you have bought Euros (and simultaneously sold dollars). If you sell EURUSD you sold Euros (and simultaneously bought dollars). FOREX is traded in lots, which represent 100,000 units of the base currency. For example you would buy EURUSD in expectation that the Euro will rise relative to the US dollar. If the EURUSD is quoted at 1.2148, then if the market moves from 1.2